Reducing Conflict And Costs In Divorce Property Settlements

Separation and divorce can be expensive, but there are ways that you minimise the costs. Given the general rule in Family Court proceedings is that each party pays their own costs, it is important to consider how you can minimise your costs and make sure there is more left to divide.

Compile The Documents Yourself

Not surprisingly, the first step in sorting out a property settlement is to get together an accurate list of assets and debts and their values… whether the asset is owned in joint names, your name or your partner’s name.

When you see a solicitor, one of the first things they will ask you is “what do you and your partner own?”

If you go to mediation the mediator will want a list of assets and debts and their values.

If you go to court then both you and your partner will need to complete a Financial Statement which, among other things, will list your assets and debts and your estimate as to their value.

Naturally, it helps if you have documents to verify the existence of the asset/debt and your estimate as to value.

Although not an asset, it is helpful to have the last three completed tax returns and ‘Notices of Assessments’ for both you and your partner. It is also helpful to have the last few payslips. They will provide evidence of current income and usually also provide evidence of leave entitlements.

It is highly likely that you won’t be able to get the above for both you and your partner. The more you can get the better. It may be that your solicitor will have to write to your partner to obtain their complete disclosure.

Don’t Make Emotional Decisions

Sometimes it’s hard to not let your emotions cloud your decision making in Family Court proceedings. However, this can be expensive. Refusing to agree to reasonable proposals can lengthen proceedings or, you might find the Court decides to award the other party their costs. Alternatively, if you don’t agree to sell something at a particular time, you might find its value drops considerably and this can be to your disadvantage.

Avoid Using Emails As A Stream Of Consciousness

If you have a question or an issue you want to discuss with your lawyer, the best approach is to properly consider the matter and either make an appointment to see them or telephone them. Or in the alternative, send them an email.

What you should avoid is sending them one email, then thinking of something further and sending another email and another email until you have sent 10 emails in the space of half an hour. Giving proper consideration to your queries and sending them in one longer email is a better use of your lawyer’s time and your money.

Don’t Use Your Lawyer As Your Therapist

Separation is a very emotional time for parties. Given your lawyer knows the ins and outs of your situation it can be tempting to seek advice or guidance from them which isn’t legal advice. The problem with this approach is first, your family lawyer isn’t qualified to provide any form of therapy or counselling. Secondly, lawyers charge according to time and seeking therapeutic or non-legal advice from them can be expensive. Your money is better spent on getting assistance from a qualified therapist, counsellor, psychologist or psychiatrist.

Use A Family Law Specialist

It’s not only family lawyers who conduct Family Court proceedings. Often solicitors who typically practice in other jurisdictions or who are part of a general practice firm, appear in the Family Court. Family law is a specialised area of practice. It’s also an area of law that continues to evolve with society. Having a lawyer who specialises in family law, like JCL legal, generally means they are more up to date with the current state of play and means they can spend less time on certain issues because they are issues they deal with every day. The less time taken on matters (where appropriate) means your costs are kept to a minimum.

How Long After Divorce Or Separation Should You Commence Property Settlement?

When parties separate, they can initiate negotiations to resolve their property issues immediately. There is no requirement to wait for a period of time or for a Divorce Order to be made before discussions and negotiations can commence.

An application to the court for property orders must be made within the following time limits:
• For married couples, an application must be filed within 12 months of the date the Divorce Order takes effect;
• For de-facto couples, an application must be filed within two years of separation.

Two Final Points…

In reaching an agreement about your property settlement there are two final points which you need to be aware of and talk with your lawyer about.

Firstly — entering into consent orders only does not finalise any spouse maintenance issues. What this means is that you can finalise your property settlement and thereafter up to 1 year after your divorce has become finalised or 2 years after you separate from your de facto relationship, a party can still bring an application for spouse maintenance.

Secondly — if you reach an agreement about sharing superannuation and seek an order that superannuation is split, then there are some extra steps which involve seeking the consent of the trustee of your superannuation fund before you sign any orders, which make add to the timeframe in finalising your matter. If these matters are relevant to you, you should speak further with your lawyer.

The law is complex and difficult to understand so we make sure we take the time to make sure you thoroughly understand and then how we will work with our knowledge of the law to obtain the best possible result.

If you need legal help finding out how to minimise settlement agreement costs, please make an appointment by ringing me on my mobile or emailing me. I am available during office hours at my city office or after hours and weekends at my Riverwood office.